for all five calendar years of their existence.
“One of the unique advantages of the ETF structure over a typical hedge fund is that it helps minimize the tax burden on investors through the ETF creation and redemption process”
IndexIQ ETFs include the following (all tickers NYSEArca):
|QAI||IQ Hedge Multi-Strategy Tracker ETF|
|QMN||IQ Hedge Market Neutral Tracker ETF|
|MCRO||IQ Hedge Macro Tracker ETF|
|CPI||IQ Real Return ETF|
|GRES||IQ Global Resources ETF|
|MNA||IQ Merger Arbitrage ETF|
|CNDA||IQ Canada Small Cap ETF|
|KROO||IQ Australia Small Cap ETF|
|CROP||IQ Global Agribusiness Small Cap ETF|
|IOIL||IQ Global Oil Small Cap ETF|
|ROOF||IQ U.S. Real Estate Small Cap ETF|
IndexIQ believes that the tax advantages of ETFs are especially pronounced in its hedge fund replication products.
“One of the unique advantages of the ETF structure over a typical hedge fund is that it helps minimize the tax burden on investors through the ETF creation and redemption process,” said Adam Patti, chief executive officer of IndexIQ. “Hedge funds can be highly tax inefficient, and they often employ strategies that generate significant short-term capital gains. This tax burden can dramatically reduce real returns, something investors should keep in mind as they determine the most efficient way to build portfolios and allocate assets.”
NOTE: Shareholders should consult with their tax advisors regarding any tax consequences related to these dividends and distributions.
IRS Circular 230 disclosure: IndexIQ does not provide legal, tax or accounting advice. Any statement contained in this communication concerning U.S. tax matters is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties imposed on the relevant taxpayer. Shareholders or potential shareholders of the IndexIQ ETFs should obtain tax advice based on their particular circumstances.
If you have any questions concerning this information or IndexIQ ETFs in general, please call 1-888-934-0777 between 9:00 a.m. and 5:30 p.m. EST, Monday through Friday.
There are risks involved with investing including the possible loss of principal. Consider the Funds’ investment objectives, risks, charges and expenses carefully before investing. A prospectus with this and other information about the Funds may be obtained by visiting www.indexiq.com or by calling (888) 934-0777. Read the prospectus carefully before investing.
The Funds do not invest in hedge funds and the underlying Indexes do not include hedge funds as components. IndexIQ ETF shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund.
IndexIQ Funds are distributed by ALPS Distributors, Inc.